Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Old 05-18-2012, 02:45 PM   #21
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Join Date: Jun 2005
Posts: 7,662
If one is not contributing the maximum to retirement accounts at the moment, then one can use this inheritance to do so. The way to do that is bump up your 401(k)/403(b) contributions to the maximum and contribute the max to Roth IRAs as well. If that doesn't leave enough in your paychecks to pay the bills, then withdraw money from the inheritance to pay the bills.

Of course, this presumes that the inheritance is not in the form of an inherited IRA or other vehicle where withdrawal would cause extra taxes.

LOL! is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 05-18-2012, 07:42 PM   #22
Full time employment: Posting here.
Join Date: Jun 2006
Posts: 926
That 100 thousand you are not investing to keep it safe and sound is totally not safe from inflation. Inflation is relatively low here recently but it still is eroding the value of anything we keep in cash. That erosion over time will seriously decrease the real value of that money.

CW4, USA-(ret)
RN, BSN-(ret)
jclarksnakes is offline   Reply With Quote
Old 05-20-2012, 07:04 PM   #23
Thinks s/he gets paid by the post
John Galt III's Avatar
Join Date: Oct 2008
Posts: 1,033
DebER, How was the tax hit on that inheritance? Did you have to pay personal income taxes on it for the year you received it? Thanks
John Galt III is offline   Reply With Quote
Old 05-21-2012, 06:51 AM   #24
Dryer sheet wannabe
Join Date: Dec 2010
Location: Winter Haven
Posts: 24
Originally Posted by John Galt III View Post
DebER, How was the tax hit on that inheritance? Did you have to pay personal income taxes on it for the year you received it? Thanks
Yes I did, John.

DebER is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Help w/Inheritance DebER FIRE and Money 23 05-21-2012 06:51 AM
Did some !&%^!!#$% person help you to retire early? Chuckanut Life after FIRE 60 02-16-2012 07:56 AM
Help with pension decision Packman FIRE and Money 2 02-09-2012 09:22 PM
Newbie needing help rocks911 FIRE and Money 18 02-02-2012 03:16 PM
Early Retirement Help - Allocation Plan erhelp FIRE and Money 9 02-01-2012 08:37 AM


All times are GMT -6. The time now is 12:21 AM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2016, vBulletin Solutions, Inc.